If you serve EU customers, and engage in crypto-related activities, you are obliged to get a MiCA licence by the deadline.

Companies issuing stablecoins need to comply with MiCA rules by June 30, 2024. Other Crypto-Asset Service Providers (such as exchanges, custodians, and other intermediaries), must be complied with by December 30, 2024.

MiCA covers the legal entities providing services such as:

• Issuing Crypto-Assets, including stablecoins
• Custody and administration of crypto-assets on behalf of clients
• Operation of a trading platform for crypto-assets
• Exchange of crypto-assets for fiat currency or other crypto-assets
• Execution of orders for crypto-assets on behalf of clients
• Placing of crypto-assets
• Providing advice on crypto-assets
• Providing portfolio management on crypto-assets

One of the key benefits of the MiCA regulation is that it provides a harmonized regulatory framework across all EU member states. Once you obtain a MiCA licence in one EU country, it is recognized across the entire European Union. This "passporting" system allows you to operate in all 27 EU member states without needing to obtain separate licences for each country.

While there are pros and cons in each of the EU member states, one of the most price effective options for a MiCA licence is the Czech Republic. It is known for its relatively business-friendly environment and efficient regulatory processes. The country has a growing fintech and crypto ecosystem. Czech National Bank, the local crypto regulator, is open to innovation and has been working towards accommodating fintech advancements.
The cost of living and operating a business in the Czech Republic is generally lower than in many Western European countries.

In many cases the regulator may require the business to change the way it operates, most commonly to protect the customers. We can help you determine the extent of the change and how to approach it in the most cost-effective way. Contact us today for a free consultation.